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ORDER OF THE GOVERNMENT OF THE KYRGYZ REPUBLIC

of March 1, 2019 No. 96

About approval of the Concept of creation and the organization of activities of service centers of entrepreneurs for 2019-2022

For the purpose of support and development of business activity in the Kyrgyz Republic, according to articles 10 and 17 of the constitutional Law of the Kyrgyz Republic "About the Government of the Kyrgyz Republic" the Government of the Kyrgyz Republic decides:

1. Approve the Concept of creation and the organization of activities of service centers of entrepreneurs for 2019-2022 according to appendix.

2. To the Ministry of Economics of the Kyrgyz Republic to take necessary measures for implementation of this resolution.

3. To fund for management of state-owned property under the Government of the Kyrgyz Republic during creation of public institution "Service center of entrepreneurs" to find the room for placement or the parcel of land under construction of the building of the created public institution.

4. Recommend to the city halls of the cities of Bishkek and Osh to render assistance to Fund for management of state-owned property under the Government of the Kyrgyz Republic in realization of Item 3 of this resolution.

5. To impose control of execution of this resolution on department of economy and investments of Government office of the Kyrgyz Republic.

6. This resolution becomes effective after seven days from the date of official publication.

Prime Minister of the Kyrgyz Republic

M. Abylgaziyev

Appendix

to the Order of the Government of the Kyrgyz Republic of March 1, 2019 No. 96

The concept of creation and the organization of activities of service centers of entrepreneurs for 2019-2022

This Concept determines mission, vision and the purposes of creation of institute of support of entrepreneurship - service centers of entrepreneurs (further - TsOP).

The concept is developed according to the purposes determined according to Section 3.4 of the Development program of the Kyrgyz Republic for 2018-2022 "Unity. Trust. Creation", the Kyrgyz Republic approved by the resolution of Jogorku Kenesh of April 20, 2018 No. 2377-VI which provides realization of one of the priority tasks set for the Government of the Kyrgyz Republic on creation of the single platform and efficient mechanisms on support of entrepreneurship.

1. Overall assessment of the current situation

According to official figures National Statistical Committee of the Kyrgyz Republic, for January-September, 2018 in Kyrgyzstan 11356 small and medium companies functioned (further - MSP). In 2017 for the same period was effective 10641 MSP and respectively the surplus in comparison with 2017 constituted 715 MSP. Individual business activity for January-September, 2018 performed 398,1 of one thousand people, for the same period of 2017 - 387,6 of one thousand people, and the surplus respectively constituted 10,5 of one thousand people. Thus, total number occupied in the field of MSP (without country and farms) for the accounting period constituted 480,6 of one thousand people.

The specific weight of small and medium business in total amount of GDP made - 38,2 of % or 140512, 6 million som. At the same time, for comparison in developed countries the share of small enterprises in GDP constitutes more than 50% of GDP and is the engine of development of economy, creation of workplaces, contributions to the budget and the pension funds.

As major factor of social and economic development it should be noted positive role of MSP which was expressed as replenishment of the income of budgets of different levels, creation of thousands of new workplaces. Small and medium entrepreneurial structures to a great extent promote development of the competitive relations, market saturation by services and goods. At the same time, the analysis of condition of development of MSP in the Kyrgyz Republic shows that this sector did not become integral part of economy yet and experiences difficulties in attraction of the capitals, in borrowing of technologies.

In this aspect of one of the most important tasks of the state decrease in barriers to business, exception of corruption mechanisms, provision and rendering high-quality, timely and available services to entrepreneurs, creating favorable conditions for business development with respect for balance of interests of citizens, business and the state is.

On survey results, carried out by Chamber of Commerce and Industry of the Kyrgyz Republic, MSP have no opportunity and sufficient resources for mastering of new technologies, matching of highly skilled personnel, personnel training, implementation of innovative technologies and another now. In the labor market the acute shortage of qualified specialists is observed. Entrepreneurs are also interested in continuous training and acquisition of new skills. The importance of additional education is dictated by need of entrepreneurs to be enhanced continuously according to features of economic development of the country within the global competition.

The state shall give full support in the solution of these questions and make investments in development of MSP, and in reply the state will get profit in type of tax, social assignments, employment of the population, creation of new workplaces.

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